Maybe not well known, but during the 20th century a number of nations started a nuclear weapons program, but then were convinced to halt the work by security guarantees by the U.S. You better believe that every single one of those nations is now revisiting that decision. For those wondering if Italy can afford to build nuclear: their economy is larger than Russia’s. As is Brazil’s, another nation that put nuclear wea…
Who's comparing Russia's economy to Italy's? Apparently Lindsay Graham did in 2014. CNN in 2022.
I like this article because it made me think about Russia and it's economy in a way that I didn't fully appreciate before. The article calls out an argument that compares Russia's economy to Italy's economy, using nominal GDP as a measurement. This is supposed to be a Western attempt to brush off Russia as a small(er) player than it really is, but that is a skewed perspective. The use of nominal GDP, especially in times of conflict (and war), does not fully encompass all of the resources that a country is capable of summoning and utilizing. Russia's oil and gas resources, as well as production in wheat, corn, and other earth metals provides it with "substantial leverage" on international markets. Furthermore, when the measurement used to compare the GDP is purchasing power parity (PPP), Russia's economy is more like that of Germany, than Italy. Taken together, the PPP and Russia's domestic production capability, and it seems to make sense why Russia's economy has not completely faltered in the face of sanctions imposed by the West. Could we say the same for Italy? Or even Germany?So all though, CNN is not wrong to make the claim that Russia's economy is equivalent to Italy's in nominal GDP, that comparison fails to take into account the economics of reality. And that's the very definition of propaganda.